Condo purchases can be actually different from single family property purchases. There are more things to assess. This article provides condominium purchasing advice for Las Vegas home buyers.
Definition of a Condo
Condos are properties with two or more units sharing common areas. The exterior belong to the association and each owner maintains a percentage interest in it. The exact percentage is normally calculated from the unit size and number of units. Individual owners must repair the inside of their own unit but divide the cost of common items such as land. Due to the shared components and expenses, it is critical for Las Vegas buyers to obtain certain paperwork prior to buying condos.
Information You Need to Find Out About
Mortgage Restrictions
Not all mortgage options can be used for all condos. For instance, FHA mandates specific owner occupancy levels, monetary reserves, and some other criteria. Condo complexes that do not meet these requirements may have a limited buyer pool. Home buyers planning to use FHA must know whether a condo is approved before spending too much effort evaluating units there.
Number of Rental Units
Most condo developments have a certain number of rental units. Higher owner occupancy percentages are preferred from a mortgage perspective. High rental percentages are usually less desirable.
Condo Fees and Reserves
Most condominium complexes require monthly fees. The fees are for common expenses. A portion is also put into a reserve for significant maintenance. It is critical for potential buyers to understand the amount of the condo fee, what it covers, the history of increases, and anticipated changes in the future. Buyers should also evaluate the amount of money already in reserve. If a complex has not saved enough to cover a major repair, all unit owners will be billed for the difference. This is called an assessment and may create a hardship for condo owners.
Rules and Regulations
Condo occupants must comply with certain restrictions that single family owners do not. It is important to read through the rules and regulations in advance and determine if they can accept them. Rules will apply to both common spaces and interior spaces.
Condominium Purchasing Advice For Las Vegas Home Buyers
Buying any type of property will require some research, although there are a few additional items to evaluate for condominiums. Thoroughly read through all information and get advice from a real estate lawyer if needed. Also consider the future market potential of condos based on its financial condition and different financing programs that may be used. Contact a real estate professional to furnish the sales history in the area. Accurate information helps you make an informed decision about your condo purchase. This blog on condominium purchasing advice for Las Vegas home buyers was shared by Arina Hanciulesco at Realty PROS Las Vegas. Contact Arina at 702-306-4766 or soldbyarinah@gmail.com for information on particular complexes in Las Vegas or regarding other real estate topics.
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